Redwire (NYSE:RDW) Trading Up 14.7% – Here’s What Happened

Redwire Corporation (NYSE:RDW) shot up 14.7% during trading on Friday . The company traded as high as $10.15 and last traded at $10.09. 26,169,672 shares changed hands during mid-day trading, a decline of 23% from the average session volume of 34,130,793 shares. The stock had previously closed at $8.80.

Redwire News Roundup

Here are the key news stories impacting Redwire this week:

• Positive Sentiment: Potential SHIELD contract is being cited as a meaningful revenue catalyst for Redwire if awarded; analysts note it as the primary bullish thesis that could support upside beyond current valuation levels. Redwire Balances SHIELD Contract Opportunity
• Neutral Sentiment: Analyst and commentary pieces advise reassessment after recent volatility — they summarize the tradeoff between contract buzz and execution/valuation risk but do not report any confirmed award or new guidance; useful for context rather than an immediate catalyst. Is It Time To Reassess Redwire
• Negative Sentiment: AE Red Holdings (an insider/director holder) executed multiple large block sales across late Jan–early Feb (including a 3,357,142‑share sale at ~$11.18 and other blocks totaling tens of millions of dollars), reducing the director’s stake and materially increasing share supply — this triggered sharp negative market reaction. SEC filing: SEC Filing — AE Red Holdings Sale
• Negative Sentiment: Multiple news reports quantify the insider sales (separate filings/coverage noting ~$14.6M and ~$19.6M blocks) and show the stock trading down double‑digit percentages after disclosures, amplifying short‑term downside as traders price in further selling pressure. Director Sells $14.59M Director Sells $19.61M
• Negative Sentiment: Market coverage shows the stock moved lower (reports ranged ~11%–24% drops) on the insider selling headlines; coupled with prior earnings/revenue misses and negative margins, investors may remain cautious until there’s clarity on contract awards or insider intentions. Trading Down After Insider Selling

Wall Street Analyst Weigh In

A number of equities research analysts have issued reports on RDW shares. Roth Mkm reiterated a “buy” rating and set a $20.00 price objective on shares of Redwire in a research note on Wednesday, January 28th. Weiss Ratings reiterated a “sell (d-)” rating on shares of Redwire in a research report on Thursday, January 22nd. KeyCorp assumed coverage on Redwire in a research note on Thursday, December 18th. They set a “sector weight” rating for the company. Truist Financial set a $13.00 price target on Redwire in a research note on Friday, January 9th. Finally, iA Financial set a $9.00 price target on Redwire in a report on Thursday, November 6th. Six investment analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average price target of $13.75.

Redwire Stock Performance

The company has a market cap of $1.67 billion, a price-to-earnings ratio of -3.18 and a beta of 2.45. The company has a debt-to-equity ratio of 0.20, a quick ratio of 1.05 and a current ratio of 1.41. The company has a fifty day moving average of $9.11 and a two-hundred day moving average of $8.98.

Redwire (NYSE:RDW) last issued its earnings results on Wednesday, November 5th. The company reported ($0.29) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.14) by ($0.15). Redwire had a negative return on equity of 16.24% and a negative net margin of 70.32%.The firm had revenue of $103.43 million during the quarter, compared to analyst estimates of $132.05 million. Equities research analysts anticipate that Redwire Corporation will post -0.85 EPS for the current year.

Insider Activity

In related news, Director Ae Red Holdings, Llc sold 12,656,683 shares of the firm’s stock in a transaction that occurred on Wednesday, January 14th. The shares were sold at an average price of $10.51, for a total value of $133,021,738.33. Following the completion of the transaction, the director owned 61,541,253 shares in the company, valued at $646,798,569.03. This trade represents a 17.06% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Over the last three months, insiders purchased 56,065 shares of company stock valued at $330,047 and sold 38,964,854 shares valued at $438,633,331. 2.60% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Redwire

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Leonteq Securities AG bought a new position in Redwire during the 4th quarter worth $250,000. ProShare Advisors LLC acquired a new stake in shares of Redwire in the fourth quarter valued at about $102,000. HighTower Advisors LLC raised its position in shares of Redwire by 674.3% during the fourth quarter. HighTower Advisors LLC now owns 25,830 shares of the company’s stock worth $196,000 after acquiring an additional 30,328 shares during the last quarter. Gabelli Funds LLC lifted its stake in shares of Redwire by 17.3% in the fourth quarter. Gabelli Funds LLC now owns 38,559 shares of the company’s stock worth $293,000 after acquiring an additional 5,688 shares during the period. Finally, DNB Asset Management AS acquired a new position in shares of Redwire in the fourth quarter worth approximately $2,315,000. 8.10% of the stock is currently owned by institutional investors and hedge funds.

Redwire Company Profile

Redwire Corporation is a space infrastructure company specializing in the design, engineering and manufacturing of mission-critical hardware and software for the spaceflight industry. The company’s offerings include deployable structures, solar power systems, radio frequency antennas, advanced composites and transparent optics. Redwire serves a broad customer base that spans civil space agencies, national defense organizations and commercial satellite operators, helping enable missions ranging from communications and Earth observation to deep-space exploration.

Formed through the strategic combination of several specialized space technology firms, Redwire’s portfolio encompasses both flight-proven hardware and cutting-edge in-space manufacturing capabilities.